A shorter guest list for Europe’s chip party
Virkkunen identified the US as the EU’s closest ally in security and technology.
That matters because Europe still leans heavily on outside suppliers for the most advanced AI chips. Its dependence on US and Asian producers for leading-edge hardware remains significant, and Brussels has been trying to change that without cutting itself off from the innovations it needs.
The money and the legislation behind the rhetoric
Virkkunen’s comments slot into a broader push for what the EU calls technological sovereignty. The centerpiece is the proposed Chips Act 2.0, which sits inside the Tech Sovereignty Package unveiled in June 2026.
The proposal aims to strengthen Europe’s ability to design and manufacture advanced semiconductors. It also targets faster approvals for chip projects.
AI applications are projected to account for roughly 70% of semiconductor market growth by 2030, which explains why Brussels is building its policy around them rather than treating AI as a side project.
The InvestAI facility is set to mobilize €20 billion to support the creation of up to five AI Gigafactories across Europe.
Separately, a new European Chip Design Platform launched in November 2026 with €500 million in mobilized funding.
Why the trusted-partner framing is a big deal
Virkkunen’s speech is the EU putting that shift into words. By tying chip cooperation explicitly to trust, she signaled that market access and partnerships may increasingly depend on geopolitical alignment, not just commercial terms.
The Nvidia-linked spy scandal gave the argument a concrete hook. When concerns about leaks reach the world’s most prominent AI chip company, policymakers elsewhere tend to take the risk more seriously.
What this means for chipmakers, investors and allies
For the US, Virkkunen’s comments read as a vote of confidence. Being named the EU’s closest ally in security and technology puts American firms in a strong position as Europe decides who gets to partner on sensitive projects.
Still, there is a tension baked into the strategy. Europe wants independence, yet it also wants deep cooperation with Washington, and those two goals will not always point in the same direction.
The faster-approval provisions in the Chips Act 2.0 proposal will be worth watching closely. If Brussels can actually shorten timelines for AI-focused projects, it would address one of the more persistent complaints about building industrial capacity in Europe.